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>Citadel has no short positions to speak of in GameStop. They bailed out Melvin, which means they made money, not Melvin's positions per se. Also, by the time t

by scythe 6y ago

>Citadel has no short positions to speak of in GameStop. They bailed out Melvin, which means they made money, not Melvin's positions per se. Also, by the time that happened Melvin had already closed out its short. You have made these claims dozens of times today without citing sources. Are you spreading insider information, lying, or just incredibly lazy and don't care if people believe you?

JumpCrisscross 6y ago
Lazy and don't care if people believe me. I'm commenting on HN. I have zero horses in this race beyond entertainment. Added source for Melvin Capital making public statements on its short position. They could be lying. But then that's securities fraud.
- nikisweeting 6y ago
  The SEC fine / lawsuits for that lie are very low relative to what they'd lose on those short positions.
  - JumpCrisscross 6y ago
    > SEC fine / lawsuits for that lie are very low Intentionally making unambiguously false, material and self-serving public statements like that is well beyond fine and lawsuit territory.
    - selestify 6y ago
      They kept it ambiguous, did they not? Why would they bother to make such statements early in the AM if they had actually closed out their shorts? They said before they do not comment on their positions. Why would they do so now if it wasn't a serious situation?
      - JumpCrisscross 6y ago
        > They kept it ambiguous, did they not? "We have closed out our position in GME (GameStop)" isn't ambiguous. > Why would they bother to make such statements early in the AM if they had actually closed out their shorts? Most likely: Citadel required them to. The bailout was going to be announced. Citadel didn't want informed observers speculating on whether Citadel had just ponied up to an unhedged falling knife. Otherwise, Melvin is a hedge fund. Its LPs are nervous, and assuring them the worst is over could sow doubt in would-be defectors. This could also be done by way of confidential notice, however, so on its own it isn't enough. The other factor is, perhaps, to get the people prank calling and such off their backs. That was a stated factor for Left at Citron.
- mckirk 6y ago
  Just going by the numbers, wouldn't we have seen much more volume if they had actually closed out their position?
  - JumpCrisscross 6y ago
    > wouldn't we have seen much more volume if they had actually closed out their position? More than what? GameStop was the most traded stock in the country for a few days.

by scythe 6y ago

JumpCrisscross 6y ago

Lazy and don't care if people believe me. I'm commenting on HN. I have zero horses in this race beyond entertainment. Added source for Melvin Capital making public statements on its short position. They could be lying. But then that's securities fraud.

nikisweeting 6y ago
The SEC fine / lawsuits for that lie are very low relative to what they'd lose on those short positions.
- JumpCrisscross 6y ago
  > SEC fine / lawsuits for that lie are very low Intentionally making unambiguously false, material and self-serving public statements like that is well beyond fine and lawsuit territory.
  - selestify 6y ago
    They kept it ambiguous, did they not? Why would they bother to make such statements early in the AM if they had actually closed out their shorts? They said before they do not comment on their positions. Why would they do so now if it wasn't a serious situation?
    - JumpCrisscross 6y ago
      > They kept it ambiguous, did they not? "We have closed out our position in GME (GameStop)" isn't ambiguous. > Why would they bother to make such statements early in the AM if they had actually closed out their shorts? Most likely: Citadel required them to. The bailout was going to be announced. Citadel didn't want informed observers speculating on whether Citadel had just ponied up to an unhedged falling knife. Otherwise, Melvin is a hedge fund. Its LPs are nervous, and assuring them the worst is over could sow doubt in would-be defectors. This could also be done by way of confidential notice, however, so on its own it isn't enough. The other factor is, perhaps, to get the people prank calling and such off their backs. That was a stated factor for Left at Citron.
mckirk 6y ago
Just going by the numbers, wouldn't we have seen much more volume if they had actually closed out their position?
- JumpCrisscross 6y ago
  > wouldn't we have seen much more volume if they had actually closed out their position? More than what? GameStop was the most traded stock in the country for a few days.